The East Sakhalin Basin is home to the giant South Kirinskoye gas field and Neptune oil field. Both were discovered since 2010 and the basin holds the potential for further significant discoveries. It is located in a harsh sub-Arctic offshore environment, and the presence of pack ice means that platforms need to be Arctic-class. The region is also subject to severe storms and earthquakes, adding to the cost of exploration and development. Despite the high cost environment, we estimate the basin will continue to create value in our Outlook period.